Discussion of Q-Robotics Business Plan

Executive Summary

Product

The project offers the development and manufacture of robots for washing the windows of skyscrapers. The company will sell robots directly as products. At the same time, it is planned that the firm will provide cleaning services. Thus, it will be more suitable to gain popularity in the market.

Mission

The application of robots for cleaning windows is an innovative and popular field of business as robots can perform work in hard-to-reach places and at any time of the year. The company’s mission is to offer engineering solutions that will meet the needs of customers.

Principal Members

The company ‘Q-Robotics’ will be divided into four sectors, each headed by a manager. It will include the Administrative, Marketing, Production, and Human Resources departments. Each unit will employ several qualified professionals competent in a specific industry.

Legal Structure

The business will be represented by three owners, each of whom will have equal opportunities in the management process. It will be a limited liability partnership, allowing each companion to be responsible for operations and not incur significant financial risks because of the allies.

Customers

The primary target audience will be business corporations, cleaning companies, and skyscraper owners. Q-Robotics will offer a direct opportunity to buy a window cleaning robot and service with a specially trained operator who will assist.

Competition

The robot market has continued to gain momentum in recent years. However, the niche of products for window cleaning, especially for high-scrapers, is still vacant. Therefore, the business has a lot of prospects to take the leading position due to the affordable prices, high durability, and compactness.

Financial Projections (up to Year 3 of operation)

The financial projections for the next three years will depend on production costs and demand for products and services. The financial report for one year predicts successful market activity; sequentially, the profit indicators will increase under the condition of accurate pricing in the next three years.

Start-up Financial Requirements

At the initial stage, funding is needed to cover all the necessary resources for production. It includes materials, space, equipment, shipping, and advertising. For this, it is necessary to attract investors willing to fund the business and promote its development.

Business & Industry Overview

Our Business

The responsibility of cleaning windows mainly involves manual work, which is often dangerous. The process of using human resources is also labor-intensive and time-consuming. It is hazardous and requires sophisticated equipment to lift people outside of buildings; it can be expensive. Therefore, the new window cleaning tasks that this business idea offers make it easier to clean windows in hard-to-reach and high places. It is crucial to note that the robot will wash windows, stairs, and facades. Robots also perform painting and general maintenance of buildings. Thus, its scope of application will increase, and as a result, the idea of a portable robotic window cleaner will gain popularity among commercial enterprises (Alexander, 2018). The description of how it works is that the device hangs from two cables diagonally attached to the two opposite ends of the building’s eaves. The robot moves vertically and sideways, winding the wires in and out.

Q-Robotics suggests creating the robot from an aluminum frame with spools to contain the hanging cables for reliability. This will support work on tall buildings. The android will also be equipped with a motor and remote control and have water and electricity inputs. The project proposes creating robots that weigh about 66 pounds, admitting them to be portable. The robot is quick to set up and also comfortable to use. At the same time, no specialized training is needed to operate the device. The worker can learn to operate the robot within a week. Thus, it is easy for the engineer to manage the robot, as he can control the android using or remote control for the drone. Cost-effective is that one robot can replace three people in need of payment (Alexander, 2018). It also presents company owners peace of mind because there is no fear of injury to the cleaners.

Our Industry

Q-Robotics will offer services to businesses that have skyscrapers in Qatar. Today, robotic window cleaners are considered the latest and most advanced technology in the Middle East. This region has problems from security, regular winds, high hurricane speeds, and very high heat in summer. Thus, the business industry of Qatar profitably uses robots to reduce injuries to workers. At the same time, firms need regular cleaning of windows due to climatic conditions. Therefore, the business industry is looking for an efficient and inexpensive option to constantly clean the windows of buildings (Alexander, 2018). The project will be used in the business sector for reasons such as constant demand, buildings of new skyscrapers, and high evaluation of the efficiency of robots by the leaders of leading businesses.

Industry Fit

In order for the proposed Q-Robotics to successfully take place in the industry, it is necessary to first negotiate with large companies in Qatar. The central purpose of the agreements is to attract local investors to introduce advanced technologies, lease, and sign long-term contracts for cleaning the windows of skyscrapers. At the same time, the main point of successful entry into the industry is the presentation and advertising of the project among the wealthiest organizations in the Middle East. Thus, if Q-Robotics attract investment and sign contracts with well-known companies that already have a large number of skyscrapers and plan to build more, it is possible to predict the costs and benefits of entering the industry.

Market Analysis & Competition

Market/Market Segments

The proliferation of technology leads to an increased demand for automated tools for both personal and commercial purposes. The market for cleaning robots is no exception, which has gained widespread consumer commitment on a global level in recent times. Every year, people spend a lot of money to buy technology that will make their lives easier and save time (Easterby et al., 2021). The use of robots in the manufacturing sector also enjoys high demand because it reduces the need for human resources to perform similar tasks. The progress of artificial intelligence will lead to an even more significant market expansion in the region and will soon take up a meaningful share in the economic sector.

Depending on the type of use, the robot’s market can be divided into domestic and professional cleaning cyborgs. It is also segmented into robots for pool, lawn, floor, and window washing based on the product (Tahat et al., 2018). Moreover, it is separated into residential, industrial, commercial, medical, and other robots depending on place and direction. The global robot market is classified into North America, Europe, Asia Pacific, the Middle East, Africa, and South America regions. The Middle East has been incredibly lucrative and promising lately. The growing demand for automation processes drives the Middle East robotics market. Over the past five years, according to Technavio Research, the market has grown by 4 percent (Isaev & Filonik, 2020). In addition, the growing adoption of robotics in various applications is expected to drive the robotics business to increase at a CAGR of approximately five percent during 2021-25 to QAR 1,401,881,250.00.

Product/Service

The specialist cleaning section is showing a promising increase in valuation over the calculation time. The Q-Robotics’ products are focused on the needs and requirements of customers in today’s environment. Above all, advanced analytics and technology tools enable work in hazardous circumstances where it is impossible to apply human resources exclusively. The pandemic has created additional demand for this industry, with all businesses focusing on maximum automation of all processes and social distancing rules (Tahat et al., 2018). Technological innovations, imaging equipment, allow cleaning to be scheduled without requiring a physical presence. Such advances stimulate and give the market the flexibility to sell the company’s products efficiently.

Moreover, window cleaning works much more effectively than any other known means. This sphere is now the most attractive and profitable because this task is almost impossible due to the buildings’ height, and hiring special workers is very expensive. Moreover, it is dangerous and requires considerable effort and time. Since the use of artificial intelligence has been growing rapidly recently, this is an even greater incentive for the growth of this market segment (Tahat et al., 2018). In addition, window cleaning jobs are also reaching commercial popularity as they reduce the need for human labor, hence decreasing companies’ operating costs.

Company Advantages

Q-Robotics has several significant advantages over other competitors in the market. First of all, attention to the compact size of the product should be paid. The products are several times smaller than the standard sizes of robots produced by other firms. This quality and weight advantage allow the goods to climb buildings more easily and quickly. They also have more ability to get into hard-to-reach places and remove all kinds of dirt. The products are equipped with special artificial intelligence sensors to distinguish dust and other objects in multiple locations. In addition, Q-Robotics will operate at a pace that far exceeds the average production of other companies in the market, producing approximately 150 or more units per month. This quantitative advantage will enable it to take the lead in the market faster and outpace its competitors.

Another advantage is the company’s focus on Qatar’s highest buildings and offices. The tools were specifically designed to be able to get to any height without much effort. Most companies operating in this field develop goods that are not suitable for skyscrapers. In contrast, Q-Robotics aims to become the leading supplier for Qatar’s most prominent and highest points. Furthermore, it is essential to note the pricing policy, as the goal is to create the most reliable product for affordable prices. It allows to gain the favor of customers and consolidate the leading position in the market.

Risk Factors

Technology acts as both the most meaningful advantage and a severe critical point for the company’s future development. To get the profit and an advantage over competitors, it is necessary to offer a model whose characteristics will be better than those of the other options presented (Tahat et al., 2018). The lack of robust designs and low battery life is now acting as significant obstacles for robots. Moreover, they are mostly operated by humans and lack the ability to react quickly to external circumstances without interference. Circumstances are very changeable, and robots cannot always adapt to a modified environment. Creating a durable automated medium is almost impossible or requires a lot of resources, both financial and human.

Manufacturing robots is a very labor-intensive process, and hence the product’s final price can be pretty high, which will not meet the needs of consumers. It can lead to a decrease in short-term income and sales, and such a moment can slow down the distribution of goods in the market (Tahat et al., 2018). This area is relatively new, so it can be a complex issue to find skilled workers who will deal with the final products’ scientific and technical development and quality. The number of people who meet all the company’s requirements is limited, so it is worth focusing on the issue of attracting mechanics and their professional development and training.

Sales & Marketing Plan

Value Proposition

The company ‘Q-Robotics’ offers unique products that clean windows faster, efficiently, and more effectively than other competitors. In order to make sure with the benefits of the products once again, customers can compare it with the services produced by people. For example, companies that offer window cleaning with human labor cannot provide the service if the wind rate is strong. (Isaev & Filonik, 2020). Due to the high speed of wind gusts, a person has no right to work because of the danger to his life. Instead, robots can operate even in the strongest blows without any risks. Another advantage is that people are not permitted to work in the heat of the day from June to September due to high temperatures. Instead, robots can easily clean windows at a temperature of 650 ° C, because of their special characteristics and the fact that they can be operated remotely. (Isaev & Filonik, 2020). Another advantage of employing a robotic system for businesses is the higher speed of duties.

Moreover, the androids are able to qualitatively clean the windows of buildings that have complex facades on the outside. The project also released a competitive advantage over other robotic designs (Isaev & Filonik, 2020). It may be of interest to future buyers that ‘Q-Robotics’ will use environmentally friendly methods to wash windows. The company will apply clean water without chemicals so that the glass windows will shine perfectly and be clean. (Isaev & Filonik, 2020). Besides, the plan proposes the application of ultra-light robots, which will wash windows in hard-to-reach places and at gigantic elevations.

Pricing Strategy

Window cleaners in Qatar include washing of inconvenient facades and work at high air temperature. Thus, a company washing a 25-story building can receive QAR 360,000 twice a year. Thus, on average, window cleaners earn from 35 to 90 QAR per hour. It is vital to perceive that skyscrapers in Qatar are being built rapidly, so cleaning companies will need people to wash windows constantly. Accordingly, to the rule of the market, the higher the demand for the employee, the higher his pay. The proposed business will be the application of robots to clean windows for less price. Thus, it will improve to first receive a wide customer base and cover the cost of obtaining equipment (Tokarski et al., 2017). However, given that the cleaning of windows of high buildings with a robotic system will be faster and better over time, it will be possible to raise tariffs to the level of human labor.

If we consider that the Q-Robotics will produce robots and buy materials wholesale, the final cost of the product and service will be lower than on the market. Thus, when developing robots, the average price of one will fluctuate around QAR 62, 000. Considering that the robots are fifteen times faster than humans and do not require repair due to high-quality components, they pay off quickly (Tokarski et al., 2017). Thus, the Q-Robotics will set the payment at QAR 55 per hour for high-quality cleaning. In order to demonstrate loyalty to customers in the first two years, prices for services will not change. After gaining popularity among customers, the Q-Robotics will be able to revise its pricing policy.

Sales & Distribution

Due to the specific nature of the Q-Robotics’ business, it is planned to sell retail and wholesale goods. Each of these types of trades will have its advantages for future development. At first, it is planned to sell in retail because it will allow marketing products at a higher price and directly interacting with clients. Retail gives more opportunities to communicate one-on-one with customers and get real-time feedback from them (Alexander, 2018). Buyers’ comments help to understand possible mistakes or points that should be improved in production or other processes, such as packaging and delivery. Once the firm already has a considerable purchaser base and is recognized, the wholesale phase will begin. Since the products are focused on towering buildings, it is evident that many compact robots may be needed to clean the structure quickly and efficiently. Therefore, selling in bulk will provide new sources of profit, stability and attract high buildings as significant buyers.

The products require careful packaging for all parts to remain intact and the unit to function correctly. For this, they will be gathered in special boxes with protective film. It is planned to sell the robots directly and provide a distinct type of service — window cleaning. There are several methods of delivery, among which will prevail the service of courier distribution directly to the client. Moreover, means of post and air transportation will be possible for an additional fee. If consumers order only assistance, the specially trained staff will be sent, operating the robot until the windows are immaculate. It will be possible to pay directly in cash on the spot after the service has been performed. It will also be permissible to pay by bank card or make an online payment to the checking account.

Advertising & Promotion

The Q-Robotics’ purpose is to increase its profits and attract as many customers as possible in the shortest possible period. That is why the website should be created, the leading role of which will be to advertise the products. It will be as exciting and interactive as possible to interest visitors and encourage them to buy. Furthermore, the Q-Robotics will be presented on the most popular social networking sites like Instagram and Facebook to ensure numerous people are aware of the service. Daily postings will appear there, showcasing the benefits of the robots and explaining the methodology of how they work. There will further be advertising on online platforms to get society used to the sight of modern technology and its scale. Everyone will agree with the statement that all people react to external indicators (Alexander, 2018). Therefore, live demonstrations of robots and their capabilities are also planned before the start of sales begin. Everyone will have the opportunity to visually see how the technology works and try it out for themselves.

When launching the selected service and product, the Q-Robotics needs to organize a large-scale event and invite stakeholders. Additionally, the firm can show the robots in action during the launch and provide discounts on the first order. However, before starting Q-Robotics, it is essential to develop brochures to acquaint guests with the benefits of robots (Alexander, 2018). Moreover, a significant attribute is business cards with the company’s address and phone number, so clients can quickly contact and order a product or service. The approximate budget for advertising and product promotion is QAR 10, 000. It is essential to perceive that once the project is launched, product sales will take place through online ordering. Another option is also to order through customer service specialists, so they can inform buyers and help them with their choices.

Ownership & Management Plan

Ownership Structure

The organizational structure of the company ‘Q-Robotics’ will be divisional and represented by several hierarchical levels. In particular, it will have three owners who will assume the crucial role of management and financing. All are highly educated and competent in robotics and will therefore be able to administer the business effectively. The primary role of the owners will be to formulate the purpose and mission of the company (Easterby et al., 2021). It will be expressed as a formal policy to which each employee and manager will adhere. They will also hold regular team meetings to motivate the staff and make necessary adjustments in their work.

Furthermore, among the essential functions are product improvement and collecting data on competitors’ activities. The partners will keep track of changes in the marketplace and the law to increase Q-Robotics’ visibility and ensure that it operates efficiently. The owners are also responsible for hiring an executive director, who will supervise the work of all managers. In addition, they should constantly improve production techniques, organize strategic planning, and monitor the progress of all projects (Easterby et al., 2021). For this purpose, separate meetings will be held with the executive and managers to coordinate the actions of all departments and focus them on a specific result.

Management Team

The Q-Robotics’ will be represented by four central departments, which will be controlled operationally by managers. These will include the administrative field, the research and development sector, marketing and sales, and the human resources department. This structure will allow for a flexible response to market needs in a globally competitive environment and ensure effective administration of the company (Easterby et al., 2021). All managers will follow the employees of the subordinate unit and guide them in the right direction. They will have specific knowledge in the sectors and, therefore, will effectively manage and ensure its purpose. They will also set specific tasks for the workers and be the prominent personalities responsible for the outcomes. They will be liable to the executive director and are obliged to follow his instructions. Each manager will receive a decent salary of QAR 20,000 per month.

Human Resources

Every company must have an organized human resources department within its structure. It will be headed by a HR Manager, who will plan, regulate and coordinate the activities of all employees. He will also assist them in solving daily problems and set global goals for human resources while taking into account the purposes and legal responsibilities of the company. It is a very demanding job that requires a high level of attention and involves mastery of many competencies so that the HR Manager (one person) will receive a decent salary of QAR 20,000. The structure of the human resources department will also include several units, each of which is competent in a specialized and narrow field.

The first division will be headed by an HR Recruiter (one person) responsible for the final decisions with a salary of QAR 15,000. He will also have a subordinate (one person) who will directly conduct interviews and post vacancies, for which he will receive QAR 10,000. The next sector will deal with employee connections and the problems of personal interaction. The Employee Relations Specialist (one person) will operate at a salary of QAR 10,000. The Compensation and Benefits Department will have one responsible for funds specialist on its staff, and he will earn QAR 10,000. Additionally, one more employee will be responsible for certain working conditions. HR Safety Specialist will generate clear reports on potentially hazardous occurrences in the workplace, including all chemicals and dangerous equipment found. He will be paid QAR 10,000 for the hard and serious work. The Training and Development department employs another person responsible for education and coaching. It is a very demanding job on which the future improvement of workers will depend, and the salary will be QAR 13,000.

Types of work, key employees, and wages will also depend on the sector of the company. For example, the administrative department will have accounting specialists (two people) with the salary of QAR 13,000 for each worker per month as well as auditors (QAR 10,000) (two people) and financial analysts (QAR 15,000) (two people). The largest and most labor-intensive department associated with direct production has 6 employees of each specialty. It employs installers (QAR 18,000), calibrators (QAR 10,000), purchasing (QAR 7,000) and packaging specialists (QAR 7,000), welders (QAR 10,000), mechanics (QAR 15,000), and electricians (QAR 10,000). Furthermore, key individuals are robotics engineers (QAR 25,000), researchers (QAR 21,000), automation specialists (QAR 18,000), system technicians (QAR 21,000), equipment testers (QAR 15,000), software developers (QAR 21,000), and operators (QAR 15,000). A total of fourteen vacancies for key professionals will be offered. The advertising department consists of sales and marketing specialists, each of them receives QAR 10,000 and customer support staff (QAR 13,000). The advertising department will have four specialists and four people for support team.

Operating Plan

Development

It is pre-determined that the Q-Robotics will be based in Doha, Qatar. At the same time, it has been decided that the central office will be rented, where people who sell services and goods will work. Additionally, it is planned to rent a robot factory on the outskirts of the city. Besides, before starting the business, the owners concluded that the Q-Robotics would buy the equipment and tools needed for the production and maintenance of robots in China. Negotiations are already started with Chinese partners, and an agreement on the supply of materials will be signed soon.

Production

At the same time, the firm intends to set up a supply chain so that materials from China are delivered to the factory by a transport company. After the robots are manufactured, it delivered to customers. Also, during negotiations with the transport company, the possibility of renting cars with drivers is considered so that they can transport operators and robots that provide services. It is essential to perceive that mechanics will work in the production and assemble robots, which managers will later sell. A separate section has also been set up to provide direct window cleaning services. It is important to note that it takes two months to make and come up with one type of robot. After receiving the template and conducting additional theoretical and practical training for employees, developing new robot models can be reduced to one month. Moreover, the production of 50 robots with the aid of machine production and taking into account the constant training of workers will be seven days (Alexander, 2018). In case Q-Robotics needs to fulfill an urgent order, additional employees and equipment will be involved.

Facilities

The production of robots will be located outside the city, at the allowed distance from residential buildings. Therefore, the search for a factory that meets all zoning requirements and has a permit is active. The expected area of the factory is 400-550 square meters. If the business is successful in the market, the owners are considering building their own facility. However, the cost of mortgages and leasing is not considered because negotiations are initiated with investors who will completely finance the project. Accordingly, they will receive a 10 percent stake in the management of the company. As for the maintenance and utility bills of the factory and the head office located in the center of Doha, the cost is supposed to be QAR 85,000 per year.

Staffing

It is valuable to note that accounting specialists (QAR 13,000 per month), auditors (QAR 10,000 per month), and financial analysts (QAR 15,000 per month) will work in the office. The responsibilities of these employees will relate to the financial forecasts of the market and the conduct of monetary transactions of Q-Robotics. That is, payment, accrual of salaries to employees, and settlements with suppliers and customers (Alexander, 2018). These workers will operate full-time; requirements for employment are work experience in the field and relevant education.

Employees of the advertising department and support service will also work in the central office, and their obligations include the promotion of services and customer support. The advertising department will work part-time (QAR 10,000), and the support service will work full time (QAR 13,000). At the same time, the support service has two work schedules, night (+ 5 percent of the rate) and day, which is essential for the support of foreign customers and suppliers. The factory workers will also be officially employed and will have medical and social insurance. They will work full time, at the same time once every three months there will be training for advanced education. The essential workers there are robotics engineers (QAR 25,000), researchers (QAR 21,000), software developers (QAR 21,000) because they are responsible for developing robots. Other employers work according to their patterns and perform automatic operations.

Equipment

The project involves the purchase of equipment in the office. For example, these will be desks, chairs, telephones, printers, and stationery. In order to provide all office workers with this, the company needs to allocate QAR 7,000. Q-Robotics will also buy equipment for production, which will be located at the factory, in wholesale from Chinese suppliers. To start making robots, the firm requires to equip production sites with computers, printers, raw materials, and supplies (total cost QAR 3, 275, 000). Samples such as steel, aluminum, copper, bronze, brass, foam and plexiglass were selected for the material. Moreover, the conveyors on which the production will take place (QAR 255, 000) require high costs. In case of successful activity, materials will be bought additionally.

Supplies

Q-Robotics will order all materials for the production of robots and equipment from Chinese suppliers. For example, elements for the body of robots and systems for controlling them are necessary (Isaev & Filonik, 2020). If there are available, complete resources or materials, they will be stored in a warehouse near the factory. Thus, the firm can buy more materials at a reasonable price and store ready-made products to transfer a large order.

Works Cited

Alexander, J. (2018). Financial planning & analysis and performance management. John Wiley & Sons.

Easterby-Smith, M., Jaspersen, L. J., Thorpe, R., & Valizade, D. (2021). Management and business research. Sage.

Isaev, V., & Filonik, A. O. (2020). Qatar: economy modernization in the current stage. Asia and Africa Today, 4, 42-49.

Tahat, Y., Mardini, G. H., & Haddad, A. E. (2018). A longitudinal analysis of financial instruments disclosure in an emerging capital market: the case of Qatar. International Journal of accounting and Finance, 8(1), 60-79.

Tokarski, A., Tokarski, M., & WĂłjcik, J. (2017). The possibility of using the business model canvas in the establishment of an operator’s business plan. Torun Business Review, 16(4), 17-31.

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